Electronic Arts, Kimberly-Clark sell bonds; Comcast improves; Anheuser-Busch InBev weakens

By Aleesia Forni and Cristal Cody

New York, Feb. 17 – Electronic Arts Inc., Kimberly-Clark Corp. and Ryder System Inc. took advantage of what was again a stronger market tone on Wednesday.

Oil prices climbed and stocks were up, while credit spreads closed the day mostly tighter.

In the high-grade space, issuers accessed the market following what had been a volatile month for the primary so far.

Electronic Arts sold $1 billion of notes in two parts in its debut offering, which attracted a book that was more than four times oversubscribed.

And Kimberly-Clark and Ryder each sold their respective new issues inside price guidance.

Medical Properties Trust, Inc. sold an upsized $500 million crossover issue. A market source noted that the deal’s book reached more than $1.1 billion earlier Wednesday.

Elsewhere, Federal Home Loan Banks entered the market with an issue of global notes in two parts, and KfW sold a $4 billion issue at the tightest side of guidance.

The day saw $11.6 billion of new investment-grade issuance price, pushing the week’s total issuance to more than $33 billion.

Investment-grade credit spreads tightened over the day.

The Markit CDX North American Investment Grade index firmed 3 bps to close at a spread of 118 bps.

In the secondary market, Comcast Corp.’s new 3.15% senior notes due 2026 priced on Tuesday ended higher.

Anheuser-Busch InBev Finance Inc.’s 3.65% senior notes due 2026 were modestly weaker on the day.

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